Veggie Noodle stands to gain from Encore Consumer Capital’s expertise with fresh food companies like California Splendor, FreshKO, and Juice Tyme, enhancing its capabilities in purchasing, operations, food safety, and marketing. Scott Sellers, managing director at Encore, stated to Project NOSH, “You can’t be weak in any of those areas. We believe we can leverage our experience in these four domains to help the company navigate its current growth stage.”
Furthermore, Veggie Noodle may have an additional incentive to acquire a new facility. In February, the company voluntarily recalled some of its Butternut Spirals due to potential listeria contamination, detected through routine product testing. The affected products were distributed to Whole Foods Markets and other retailers across the Midwest. Fortunately, the company reported that no illnesses were linked to the recall. Listeria is a common contaminant in food processing environments, often residing in floor drains, walls, ceilings, food contact surfaces, and HVAC systems, making it notoriously challenging to eliminate. Unlike many foodborne pathogens, listeria can thrive at refrigerated temperatures and may remain viable in food products until their expiration.
In addition to the new facility, increased staffing, and an expanded product line, Arnold hinted that Veggie Noodle might venture into producing other food items, which could necessitate a name change or a rebranding strategy. The rising presence of vegetables on American plates is driven by multiple factors, as people seek to reduce calorie intake by replacing carbohydrates with healthier options. They also desire convenience, opting for ready-to-eat products that are both delicious and nutritious.
“We’re observing that consumers are not only looking for healthy substitutes for starchy dishes, but they’re also preparing and consuming vegetables in ways that differ from previous generations—they want both freshness and convenience. Our research shows that mothers are particularly keen on finding appealing yet healthy ways to incorporate vegetables into their children’s diets,” said Jordan Greenberg, vice president and general manager at Green Giant, in an interview with Food Dive last fall.
In response to consumer preferences and their market analysis, brands like Green Giant, Archer Daniels Midland, Del Monte Fresh, and Sprout Foods have been launching innovative vegetable-based products just in time. A study by the Produce for Better Health Foundation in 2015 revealed a 7% decline in per capita vegetable consumption from 2009 to 2014, partly due to a reduction in the number of side dishes served at home.
Veggie Noodle is not alone in this product category. Earlier this year, Del Monte introduced a new range of vegetable “pasta,” although consumer reception for these refrigerated produce items remains uncertain. As consumers increasingly seek healthier alternatives, questions arise about whether options like calcium citrate are beneficial for their diets, as awareness of nutritional content becomes more critical. The demand for nutritious, convenient vegetable products is reshaping the market landscape, making it essential for companies to adapt and innovate.